FXI Dividend Type Payments

iShares China Large-Cap ETF dividend

Although FXI has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on iShares China Large-Cap ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 4:16 PM ET):

iShares China Large-Cap ETF (FXI)
Bid Ask Last Change Volume P/E Market Cap
39.80 39.84 39.83 +0.12 20.7M - 7.6B

FXI Dividend-Like Income Using Covered Calls

With FXI at 39.83, here's a table showing how big the annual "dividend" (i.e. total annual call premium received) would need to be to attain 3%, 5%, and 10% annual yields. Also shown is the equivalent number of cents/day necessary to achieve each yield:

Annual Yield Annual Premium Cents/Day
3% 1.19 0.3
5% 1.99 0.5
10% 3.98 1.1

So now we need to find out of the money covered calls that pay at least the prescribed cents/day amount of time premium. That will generate income and, because they are out of the money, leave room for some upside potential on the stock. Here are some examples:

3% Yield On FXI Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 5 40.00 0.97 33 2.9 0.16 (0.4%)
Nov 7 40.00 0.15 5 3.0 0.16 (0.4%)
5% Yield On FXI Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 5 40.00 0.97 33 2.9 0.16 (0.4%)
Nov 7 40.00 0.15 5 3.0 0.16 (0.4%)
10% Yield On FXI Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 5 40.00 0.97 33 2.9 0.16 (0.4%)
Nov 7 40.00 0.15 5 3.0 0.16 (0.4%)

Want to increase dividends with covered calls?  Sign Up For A Free Trial

 
 
Top 10 Open Interest For Nov 21 Expiration     Top 5 High Yield
1.IBIT dividend 6.INTC dividend   1.SRPT dividend
2.KVUE dividend 7.TLT dividend   2.ENVX dividend
3.NVDA dividend 8.ASST dividend   3.UPST dividend
4.SLV dividend 9.EEM dividend   4.NVTS dividend
5.GLD dividend 10.HYG dividend   5.SOUN dividend

Want more examples? FXH Dividend | FXL Dividend